As we bid farewell to 2023, the Indian financial landscape witnessed an impressive feat with numerous companies collectively raising a staggering ₹49,000 crores through Initial Public Offerings (IPOs), as reported by Prime Database. The enthusiasm doesn’t seem to wane as we step into the new year, and investors are encouraged to ready their Demat account for what promises to be an exciting series of IPOs. Buckle up, as the market gears up for an estimated ₹60,000 crores in upcoming share sales.
The Momentum Continues: 25 Companies Set to Make a Splash
In a striking revelation, approximately 25 companies have already expressed a keen interest in securing funds in the months ahead. These forward-thinking enterprises have taken the initial step by filing necessary paperwork, known as Draft Red Herring Prospectuses (DRHPs), during the third quarter of the previous year. Currently, these companies have obtained regulatory approval to go public, with aspirations to amass ₹29,000 crores collectively. Additionally, an additional 29 companies are patiently awaiting regulatory approval, with hopes of raising approximately ₹34,000 crores. It’s not just a financial move; it’s a strategic plan to fuel growth and innovation.
Looking Ahead: 2024 Brings Giants to the IPO Arena
Looking forward to 2024, some big companies are planning to join the IPO party. We’ve got Swiggy, which delivers food to our doors, planning to raise a whopping $500 million.
FirstCry, known for baby and kids’ products, is eyeing an IPO in the range of $500-600 million. The company has appointed Kotak Mahindra Capital, Morgan Stanley India, BofA Securities India, JM Financial and Avendus Capital as managers to the issue. FirstCry, one of the largest omni-channel platforms selling products for mothers, babies, and kids, witnessed a revenue jump from ₹16,02.85 crore in FY21 to ₹56,32.53 crore in FY23 driven by internal expansion and strategic acquisitions. It clocked ₹14,06.93 crore in revenues in the first quarter of FY24.
Ola Electric, the electric vehicle folks, are also getting in on the action with a $400 million IPO, with its focus on new and cool solutions, is looking at $400 million too. It has become first such Electric Vehicle firm that has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India for its initial public offering (IPO).
Then there’s Portea Medical, a healthcare service provider, aiming to raise ₹2,100 crores in the first quarter of 2024.
So, it’s not just about these companies getting money. It’s like they’re gearing up to bring more cool stuff to the market and grow bigger. And for us, it means we might have some interesting investment opportunities in the coming year. Exciting times ahead!